PayPal’s Venmo expansion comes at an interesting moment as the company navigates leadership changes, investor pressure and potential acquisition interest from Stripe.
PayPal has announced an expansion of its Venmo platform, enabling users to send and receive money with PayPal accounts across 90 markets.
The update, announced on 23 March, connects Venmo’s peer-to-peer payments platform with PayPal’s global network, giving users access to hundreds of millions of accounts and expanding the app’s reach outside its traditional US base.
“By bringing these two ecosystems together, we’re making it seamless for Venmo and PayPal users to pay one another without friction or borders,” said Diego Scotti, General Manager, Consumer Group at PayPal.
“It’s about meeting people where they are and delivering simple, secure ways to move money in the moments that matter most, no matter what your preferred app is.”
The integration allows users to send money using just a phone number, removing the need for bank details or routing information. Payments can be made domestically and internationally, with the app showing currency conversion rates and any fees before the transaction is completed.
Handing Venmo a passport
Venmo is one of the most widely used peer-to-peer payment apps in the US, especially among younger consumers, but until now it has been limited to the US market.
The expansion is a direct response to demand for international peer-to-peer payments. PayPal highlighted survey data showing that 41% of Americans send money or gifts to friends and family abroad, with nearly half of Gen Z users doing so monthly.
The friction is real: nearly half of users said they had downloaded or switched apps just to complete a payment, and 30% reported forgetting to settle a payment entirely due to platform mismatches.
PayPal aims to make Venmo a more globally relevant payments tool by enabling cross-border transactions without requiring users to adopt a new service.
Strategic timing for PayPal
The expansion comes at a pivotal moment for PayPal, following reports that payments firm Stripe is exploring a potential acquisition of the company or parts of its business. While discussions remain at an early stage, the reported interest has led to renewed attention to the value of PayPal’s assets, including Venmo.
Stripe, which recently confirmed a $159bn valuation through an employee tender offer, has built its business around developer-focused payments infrastructure and does not currently operate a consumer platform at Venmo’s scale.
This has led to speculation that Venmo could represent a strategically important addition in any potential deal, perhaps now more so with the recent upgrade.
Speaking to Payment Expert about the potential deal last month, Simon Taylor, Head of Market Development at Tempo, warned it wouldn’t be easy.
“PayPal isn’t a 50-person startup. It’s 400 million accounts, a brand new CEO, and a decade of cultural debt,” Taylor said. “That’s a completely different integration problem.”
However, the deal wouldn’t be impossible. Already this year the industry has witnessed Mastercard acquire BVNK for $1.8bn and towards the end of last year FIS said its $13.5bn acquisition of Global Payments’ Issuer Solutions was on track.
Potentially making the deal more realistic is PayPal’s recent challenges, with increased competition from Apple Pay and Google Pay and a significant decline in its market valuation.
Shares have been under pressure in 2026 as investors reacted to a weak outlook, and a leadership change following earnings.
On 3 February, PayPal reported Q4 results which missed expectations and gave a 2026 profit forecast below what analysts had predicted. On the same day, the board appointed Enrique Lores as President and CEO, replacing the previous leadership.
